Construction, land costs too high too make lower, middle-income rentals pencil.https://twitter.com/nicktimiraos/status/633243820579155968 …
Partner at @initialized. Previously @techcrunch. When life hands me lemons, I make tarte au citron.
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Kim-Mai Cutler Retweeted Nick Timiraos
Construction, land costs too high too make lower, middle-income rentals pencil.https://twitter.com/nicktimiraos/status/633243820579155968 …
Kim-Mai Cutler added,
@kimmaicutler @SPUR_Urbanist serious Q, why do we speak of low/mid-income housing, but not say, lower-income phones, cars, or health-care?
@tmccormick @SPUR_Urbanist land, the main input into housing, is very much the opposite ;-)
@kimmaicutler @SPUR_Urbanist not sure that answers. You can have major economies of scale in housing, eg Levitt or Swedish/Japanese prefab
@kimmaicutler @SPUR_Urbanist space is not really naturally scarce in most places, it's mostly artificially scarce due to land-use control.
@tmccormick @SPUR_Urbanist partially. Infill development is just inherently much more expensive and harder to do than sprawl bc of impacts
@kimmaicutler to put another way, why not speak of higher/lower cost housing, as we speak of higher/lower cost medical care, cars, phones?
@kimmaicutler @Sampath_Reddy_A I think the concept that housing must be matched to income underlies many of the housing system's failings.
@tmccormick @Sampath_Reddy_A falls in line w American system, which favors wealth accumulation through property over wages, labor
@kimmaicutler US sitebuilt, low-efficiency system means more of capital/property's wealth is given to wages/labor of construction sector.
@tmccormick that wasn't the argument I was making. Was saying the US manipulates the housing mkt partly to avoid income dist. question
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